The Q3 results are here:
- Reported third quarter 2021 net loss of $95.8 million, capex of $79.9 million and cash of $233.8 million on September 30, 2021.
- Executed an asset purchase agreement with an affiliate of Hon Hai Precision Industry (“Foxconn”) that will culminate in the transfer of the Lordstown plant to Foxconn, and a plan to establish a contract manufacturing agreement whereby Foxconn will manufacture the Endurance.
- Agreed to pursue a jo--t venture agreement with Foxconn to jointly design and develop vehicle programs for the commercial market in North America and internationally using Foxconn’s Mobility in Harmony (“MIH”) open electric vehicle platform.
- Signed an MoU with Cox Automotive Inc. with a mutual goal to provide service and support to all Lordstown Motors electric vehicle fleet customers.
- Received $50 million equity investment from Foxconn in October at approximately $6.90 per share; $230 million purchase price of the Lordstown plant would be pre-funded with three down payments — $100 million on or about November 18th, $50 million on February 1, 2022, and $50 million no later than April 15, 2022, subject to certain conditions. At closing, the remaining $30 million purchase price, along with reimbursement for certain operating and capital costs from September 1, 2021 through closing, will be paid.
- Net loss includes non-cash items of $11.1 million in intangible asset amortization, $6.6 million in stock compensation, and a $3.3 million gain on a fair value adjustment of warrants.
What do you think?